Do I Need a License or Certification to Operate a Laundromat Business?
- Nate Jones, CPCU, ARM, CLCS, AU
- Nov 3
- 2 min read
If you’re planning to open a laundromat, one of the first questions you’ll face is: Do I need a license or certification to operate legally? The short answer is yes—you’ll need several licenses and permits to comply with local, state, and federal regulations. While laundromats typically don’t require professional certifications, they do require business licenses and safety permits.
At Wexford Insurance, we help laundromat owners protect their investment with tailored insurance coverage. Here’s what you need to know about licenses, permits, and compliance before opening your doors.
1. General Business License
Every laundromat must have a local business license to operate legally. This license registers your business with city or county authorities and ensures compliance with local regulations.
Typically renewed annually
Fees range from $50–$500 depending on location
Learn more at The Laundry Boss: Laundromat Business Licenses Guide.
2. Sales Tax Permit
If you plan to sell taxable items like detergent, laundry bags, or vending machine products, you’ll need a sales tax permit from your state’s Department of Revenue.
Required for taxable goods or services
Allows you to collect and remit sales tax
Check out Profitable Venture’s Permit Guide for details.
3. Employer Identification Number (EIN)
Even if you’re a sole proprietor, applying for an EIN from the IRS is recommended. It’s required if you have employees or plan to open a business bank account.
Free to obtain online
Used for tax filings and payroll
4. Building and Safety Permits
If you’re renovating or constructing your laundromat, you’ll need building permits and safety inspections to ensure compliance with fire codes and structural standards.
Building permits: $100–$1,000
Fire safety inspections: $50–$200 annually
Learn more at TryCents: Laundromat Safety Compliance Guide.
5. Utility Permits
Because laundromats use significant water, electricity, and sometimes gas, most cities require utility permits for water, sewer, and electrical connections.
Costs range from $100–$500 per permit
6. Health Department Permit
Some municipalities require a health permit to ensure cleanliness and safe handling of chemicals.
Typically $50–$200 annually
Do You Need Certification?
Unlike salons or medical facilities, laundromats generally do not require professional certifications. However, compliance with OSHA and ADA standards is essential for safety and accessibility.
Learn more at Starter Story: Legal Requirements for Laundry Businesses.
Don’t Forget Insurance
Licenses keep you legal, but insurance keeps you protected. At Wexford Insurance, we offer:
Final Thoughts
Operating a laundromat without the proper licenses can lead to fines or closure. Make sure you secure all required permits and pair them with comprehensive insurance coverage to protect your investment.
Ready to safeguard your laundromat?
Contact Wexford Insurance today.
